Delta pays $13 million to group of former Northwest workers
Atlanta-based Delta Air Lines paid $13 million to a group of workers from its merger partner Northwest Airlines, to fulfill a deal made between Northwest and one of its unions during the airline's bankruptcy.
The payment stems from an agreement in 2006, when the International Association of Machinists negotiated a provision to require Northwest to pay its baggage handlers and stock clerks $13 million on Dec. 31, 2010 in exchange for concessions the workers made during Northwest's bankruptcy.
Delta acquired Northwest in 2008. Last week, Delta paid varying lump sum payments to the nearly 5,000 former Northwest baggage handlers and stock clerks who now work at Delta. Delta allocated the $13 million among the workers based on their earnings and whether they work part-time or full-time.
The Machinists union no longer represents the Delta baggage handlers and stock clerks from Northwest, after employees voted against unionization in elections last year.
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